Financial Statements — Account STD 11 Commerce — Question

On 31st March, 2019, a firm's debtors were ₹ 63,000 and its provision for Doubtful Debts was ₹ 3,200. It was decided to write off as irrecoverable debts of ₹ 2,600 and provide for Doubtful Debts @ 5% on Debtors.
Prepare Provision for Doubtful Debts Account and pass the entries in the Profit and Loss Account, and the entry for debtors in the Balance Sheet as at 31st March, 2019.

Why is Closing Stock valued at lower of cost or net realisable value (market value)?

Manish has paid salaries of ₹ 1,50,000 for the year ended 31st March, 2019. Salaries include ₹ 20,000 paid in advance for the year ending 31st March, 2020. Show how it will be shown in the Profit and Loss Account and the Balance Sheet.

Trial Balance is prepared after preparing the Profit and Loss Account Comment.

What are the methods of recording Depreciation?

What is tailor made software?

What is meant by Depreciation?

What is the primary objective of financial statements?

Ascertain the value of Opening Stock from the following:

	₹		₹
Purchase	1,20,000	Closing Stock	30,000
Sales	1,90,000	Carriage Inwards	7,000
Return Inward	10,000	Rate of Gross Profit on Sales	40%
Return Outward	4,000

Is the balance of Petty Cash Book an asset or income?